#CryptoMarketBouncesBack

Bitcoin Mining Giant's Loss Grows, Eyes on AI Plan

Bitcoin mining company Cango reported a net loss of $285 million in the fourth quarter of 2025 as its expanding Bitcoin mining business revenue could not offset impairment expenses, fair value losses, and rising mining costs.

In its financial statement released Monday, Cango announced fourth-quarter revenue of $179.5 million, with $172.4 million coming from Bitcoin mining. However, total operating expenses and costs rose to $456.0 million.

Part of the losses stemmed from $81.4 million in impairment costs for mining machines and $171.4 million in losses due to changes in the fair value of Bitcoin (BTC) secured receivables. The company also reported rising production costs, with total mining costs per Bitcoin reaching $106,251 during the quarter.

The results showed that as the company grew its business, the increase in revenue from mining was offset by impairment costs, adjustments to market value, and rising production costs.
Cango shares have fallen from approximately $4.50 on October 1st to approximately $1.50 as of December 31st. The stock is currently trading at $0.68, representing a drop of over 84% in the last six months.

Cango reported a net loss of $452.8 million for the full year 2025.

For the full year, Cango reported total revenue of $688.1 million, with $675.5 million coming from Bitcoin mining. In its first full year of scaled operation in the sector, the company mined 6,594.6 Bitcoin throughout 2025, equivalent to approximately 18.07 Bitcoin per day.

Cango reported total operating expenses and costs of $1.1 billion for 2025. This includes $338.3 million in impairment losses related to mining machinery and $96.5 million in fair value losses on Bitcoin-backed receivables. These figures revealed the cost pressures that come with expanding mining operations.

In total, Cango reported a net loss of $452.8 million for the year. Chief Financial Officer Michael Zhang said the loss was largely due to non-recurring conversion costs and market-driven fair value adjustments.
Cango's Shift Towards Bitcoin Mining

Cango's results come as part of a broader strategic transformation process that has reshaped the company's business model over the past year.

In April 2025, Cango agreed to sell its former car financing operations in China to Ursalpha Digital Limited for $352 million.

The deal also included the transfer of 32 exahash per second (EH/s) of mining capacity to the company. This effectively repositioned Cango as a publicly traded Bitcoin mining company.

In February, the company raised $75.5 million through equity financing after selling 4,451 Bitcoin for approximately $305 million to reduce its debt.

The company stated that this supports its shift towards AI infrastructure and plans to transform its mining operations into distributed computing capacity for AI workloads.
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